dch/navigant medicaid & peachcare strategy report

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DCH/Navigant Medicaid & PeachCare Strategy Report Medical Association of Georgia February 4, 2012 Cam Grayson

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DCH/Navigant Medicaid & PeachCare Strategy Report. Medical Association of Georgia February 4, 2012. Cam Grayson. Purpose of DCH Redesign. Formulate strategy for future of Medicaid and PeachCare for Kids Comprehensive assessment of programs to identify redesign options. DCH Redesign Goals. - PowerPoint PPT Presentation

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Page 1: DCH/Navigant  Medicaid & PeachCare   Strategy Report

DCH/Navigant Medicaid & PeachCare

Strategy Report

Medical Association of GeorgiaFebruary 4, 2012Cam Grayson

Page 2: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Building a Better State of Health Since 1849

Purpose of DCH Redesign

Formulate strategy for future of Medicaid and PeachCare for Kids

Comprehensive assessment of programs to identify redesign options

Page 3: DCH/Navigant  Medicaid & PeachCare   Strategy Report

DCH Redesign Goals

Enhance appropriate use of services by members

Achieve long-term sustainable savings in services

Improve health care outcomes for members

Building a Better State of Health Since 1849

Page 4: DCH/Navigant  Medicaid & PeachCare   Strategy Report

DCH Redesign Strategies

Gain administrative efficiencies

Ensure timely and appropriate access

Ensure operational feasibility

Align reimbursement with patient outcomes, quality

Encourage members to be accountable for own health

Develop a scalable solutionBuilding a Better State of Health Since 1849

Page 5: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Approach/Content

Project goals Study methodology and limitations National environmental scan Georgia-specific scan Options for Georgia’s design strategy Appendices

Building a Better State of Health Since 1849

Page 6: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Evaluating the Options

Phase I: Evaluate generic delivery system options

Phase II: Assess potential services and populations to “carve in” or “carve out”

Phase III: Develop and evaluate Georgia-specific delivery system option

Phase IV: Identify recommendations

Building a Better State of Health Since 1849

Page 7: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Delivery Systems

Building a Better State of Health Since 1849

Source: Navigant Medicaid and PeachCare for Kids Design Strategy Report, January 17, 2012, page 3-19

Page 8: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Generic Delivery Systems Selected

Option 6: Georgia Families Plus Option 8: “Commercial Style” Managed

Care Option 9: Free Market Health Insurance

Purchasing

Building a Better State of Health Since 1849

Page 9: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Navigant “Carve Ins” (Population-Based)

Behavioral health services Long-term care services Home and community-based waivers Dually eligible for Medicaid and

Medicare Foster care children

Building a Better State of Health Since 1849

Page 10: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Navigant “Carve Ins” (Service-Based)

Behavioral health services LTC services Home and community-based waiver Dental services Transportation services Pharmacy services

Building a Better State of Health Since 1849

Page 11: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Rationale for “Carve-Ins”

Populations lack care management Streamlines single delivery system Clinical information linkages Limits patient confusion by one entity Cost efficiencies and improves quality Reduces administrative oversight

Building a Better State of Health Since 1849

Page 12: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Rationale for “Carve-Ins”

Vendors can leverage with providers to enforce coordination of care and outcomes using PFP and value-based purchasing

One blended/capitated rate for all services under one contract stops “dumping”

Building a Better State of Health Since 1849

Page 13: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Permutations to Generic Delivery

System Option 1: Georgia Families Plus Option 2: Georgia Families Plus

transitioning to “commercial style” managed care program

Option 3: Georgia Families Plus transitioning to “commercial style” managed care program using ACOs and PCMHs

Option 4: Georgia Families Plus and free market health insurance purchasingBuilding a Better State of Health Since 1849

Page 14: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Underlying Assumptions

Delivery system can be implemented and applied to all populations on statewide basis

DCH can introduce on incremental basis, beginning with traditionally managed populations and adding more complex populations in future

Building a Better State of Health Since 1849

Page 15: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Recommended Delivery Systems

1. Georgia Families Plus transitioning to “commercial style” managed care program that require ACOs and PCMHs

2. Georgia Families Plus transitioning to “commercial style” managed care program

3. Georgia Families Plus

Building a Better State of Health Since 1849

Page 16: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Option 1: Georgia Families Plus

Enrolls all populations (foster care, dual eligibles, ABD) and all services

Uses value-based purchasing, performance measures

Uses medical homes Obtains compliance using patient

incentives Focuses on health and wellness Offers risk-based budget predictability

Building a Better State of Health Since 1849

Page 17: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Option 2: Georgia Families

Plus/Commercial Option 1 plus commercial managed care

levers Many enrolled in commercial managed

care Uses copayments, deductibles, HRAs,

incentive payments, and prizes Initially excludes foster care, ABD, dual-

eligibleBuilding a Better State of Health Since 1849

Page 18: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Option 3: Georgia Families Plus/Commercial + Managed

Care/ACOs/PCMHs

Enroll many in commercial-style managed care

Similar to former plan but requires ACOs and PCMHs

Foster care, ABD, and dual-eligible not initially targeted

Risk-based managed care

Building a Better State of Health Since 1849

Page 19: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Option 4: Georgia Families Plus + Free Market Health

Insurance Purchasing

Implements Georgia Families Plus for children, foster care, ABD

Free market health insurance purchasing program

Allows patient choice of plans Maximizes budget predictability

Building a Better State of Health Since 1849

Page 20: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Free Market Approach

DCH defines standard benefit package Insurers would offer standard benefit

package and health rewards account Insurers would seek certification from

state and limit participation to less than six insurers

DCH would not contract directly with health plans and would not process claims

Medicaid members given a credit to purchase

Building a Better State of Health Since 1849

Page 21: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Next Steps for DCH

Select delivery system and “carve-in” populations and services

Improve DCH internal operational issues such as credentialing, eligibility system, CMO contract monitoring

Consider and decide on redesign

Building a Better State of Health Since 1849

Page 22: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Key Design Options

Delivery system leverages HRAs, HSAs Care and disease management Medication therapy management Contracted vendors Special populations Payment strategies Penalties and rewards

Building a Better State of Health Since 1849

Page 23: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Implementation and Operational Needs

Federal approvals Determining basis for

populations/timelines DCH needs to change its organizational

structure Determine what other information

systems and operational changes are necessary

Building a Better State of Health Since 1849

Page 24: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Planning for Key Design and Program

Features Develop high-level implementation

timeframe Convene team to develop

recommendations for detailed program Convene advisory groups as needed Vet program design with stakeholders Develop strategies to mitigate risks Develop implementation plan and

timeline Building a Better State of Health Since 1849

Page 25: DCH/Navigant  Medicaid & PeachCare   Strategy Report

Questions?

Cam [email protected]

678.303.9275

Building a Better State of Health Since 1849